Clicky

  • About
  • Coincu
  • Hot topics
  • Random
Friday, September 22, 2023
CoinCu News
No Result
View All Result
  • Home
  • News
    • Bitcoin
    • Altcoins
    • Blockchain
  • Market
    • Analysis
  • Knowledge
    • Crypto 101
    • DeFi
  • Reviews
    • Exchange Reviews
    • DeFi Reviews
    • GameFi Reviews
    • Casino Reviews
    • Others Reviews
  • Recommended
    • Best Presale Cryptocurrencies
    • Best Bitcoin Casinos
    • Best Bitcoin Gambling Sites
    • Best Web3 Cryptocurrencies
  • Video
  • PR
    • Press Releases
    • Sponsored Articles
    • Advertise
  • Home
  • News
    • Bitcoin
    • Altcoins
    • Blockchain
  • Market
    • Analysis
  • Knowledge
    • Crypto 101
    • DeFi
  • Reviews
    • Exchange Reviews
    • DeFi Reviews
    • GameFi Reviews
    • Casino Reviews
    • Others Reviews
  • Recommended
    • Best Presale Cryptocurrencies
    • Best Bitcoin Casinos
    • Best Bitcoin Gambling Sites
    • Best Web3 Cryptocurrencies
  • Video
  • PR
    • Press Releases
    • Sponsored Articles
    • Advertise
No Result
View All Result
CoinCu News
No Result
View All Result
Home News

Jump Trading Allegedly Profited $1.3 Billion From Price Manipulation TerraUSD

Foxy by Foxy
4 months ago
in News
Reading Time: 3 mins read
396
92
SHARES
3.1k
VIEWS
Share on Twitter

South Korea’s FIU Enhances Crypto Exchange Oversight From October 2024

Hong Kong’s JPEX Sees Significant Increase In Victims In HK$1.37 Billion Fraud

Key Points:

  • Market maker Jump Trading and CEO Kanav Kariya are accused of manipulating the TerraUSD token price.
  • Terra and Kwon have agreed to amend their previous agreements and transfer over 61.4 million LUNA tokens to Jump at a 99% discount.
  • Jump subsequently resold the tokens for a profit of over $1.28 billion.
A lawsuit has been filed in Illinois district court alleging that Jump Trading engaged in price manipulation of TerraUSD (UST), an algorithmic stablecoin, through a partnership with Terraform Labs.
Jump Trading Allegedly Profited $1.3 Billion From Price Manipulation TerraUSD

According to court documents, Jump Trading purchased millions of UST tokens in 2021 to manipulate their value to reach $1, violating the Commodity Exchange Act and CFTC regulations. The lawsuit also accuses Jump of getting rich illegally. Jump is the leading financial backer of Terraform Labs and has borrowed tens of millions of LUNA tokens in exchange for market-making services for transactions in LUNA, UST, and aUST.

Specifically, in May 2021, when the UST stablecoin algorithm failed to maintain a fixed $1, Terraform and its CEO Do Kwon allegedly coordinated transactions with Jump to manipulate the market price for UST and aUST. To encourage Jump manipulation, Terra and Kwon agreed to amend their previous agreements and transfer over 61.4 million LUNA tokens to Jump at a high discount. Jump later sold back with a profit of more than 1.28 billion USD.

The US Department of Justice is investigating the stablecoin collapse, and prosecutors are examining a chat group discussion involving Jump Trading, Alameda Research, and Jane Street Group about a potential bailout for stablecoin TerraUSD. Do Kwon was arrested in March for allegedly using fake documents and is currently under house arrest after being released on bail.

Jump Trading Allegedly Profited $1.3 Billion From Price Manipulation TerraUSD

The stablecoin crash caused a $40 billion wipeout in the Terra ecosystem last May. The Federal Bureau of Investigation and New York’s Southern District Attorney’s Office have recently questioned former employees at Terraform Labs as part of their investigation.

The allegations in the lawsuit are serious and, if proven, could have significant consequences for Jump Trading and CEO Kanav Kariya. In addition to the legal and regulatory implications, the allegations could damage Jump’s reputation and erode confidence in the cryptocurrency market.

The US Department of Justice is also investigating the collapse of stablecoins, which contributed to the wipeout of $40 billion in the Terra ecosystem last May. Two agencies within the department – the Federal Bureau of Investigation and the Southern District Attorney’s Office of New York – have questioned former employees at Terraform Labs in recent weeks.

As mentioned in the previous article, as regulators crack down on the crypto industry, market makers Jane Street and Jump Trading are pulling out of the US crypto exchange market.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

Join us to keep track of news: https://linktr.ee/coincu

Foxy

Coincu News

Terraform Labs Welcomes Chris Amani As New CEO

Terraform Labs Seeks Information From FTX To Defend Against Fraud Charges: Report

SEC Seeks Evidence From Daniel Shin And Chai Corp For Terraform Labs Collapse

Tags: # Cryptocurrencies#MarketscryptoJump TradingLUNAmanipulationTerraTerraUSD
Previous Post

BetFury Review: One Of The Best Online Crypto Casino

Next Post

Shocking Milestone: One Million Bitcoin Addresses Now Contain 1 BTC or More!

Other Posts

Bitmain Invests In Core Scientific With $53.9 Million To Boost Bitcoin Mining
News

Bitmain Invests In Core Scientific With $53.9 Million To Boost Bitcoin Mining

September 22, 2023
South Korea's FIU Enhances Crypto Exchange Oversight From October 2024
News

South Korea’s FIU Enhances Crypto Exchange Oversight From October 2024

September 22, 2023
Coinbase Chief Legal Officer Paul Grewal Confirms Layer 2 Base Will Not Launch Tokens
News

Coinbase Chief Legal Officer Paul Grewal Confirms Layer 2 Base Will Not Launch Tokens

September 22, 2023
Hong Kong's JPEX Sees Significant Increase In Victims In HK$1.37 Billion Fraud
News

Hong Kong’s JPEX Sees Significant Increase In Victims In HK$1.37 Billion Fraud

September 22, 2023
Binance's Trading Volume Faces Challenge Due To Zero-Fee Promotion Halt
News

Binance’s Trading Volume Faces Challenge Due To Zero-Fee Promotion Halt

September 22, 2023
Justin Sun's Huobi Bold Transformation: HTX Emerges As A Game-Changer In Crypto
News

Justin Sun’s Huobi Bold Transformation: HTX Emerges As A Game-Changer In Crypto

September 22, 2023
Next Post
Shocking Milestone: One Million Bitcoin Addresses Now Contain 1 BTC or More!

Shocking Milestone: One Million Bitcoin Addresses Now Contain 1 BTC or More!

  • Immutable-X-Suddenly-Increases-More-Than-35-percent-As-Whales-Show-Signs-Of-Accumulation

    Immutable X Suddenly Increases More Than 35% As Whales Show Signs Of Accumulation

    124 shares
    Share 50 Tweet 31
  • Coinbase Wallet Users: Beware of Scammers Exploiting Messaging Protocols for Phishing!

    142 shares
    Share 57 Tweet 36
  • Layer 1 Vara Network Will Be Supported By Coinbase

    112 shares
    Share 45 Tweet 28
  • Ethereum Network Gas Fee Now Soars To Over 310 Gwei

    93 shares
    Share 37 Tweet 23
  • 1 Million WLD Withdrawal: GSR Markets Fortify Their Crypto Holdings with $1.3 Million Move

    97 shares
    Share 39 Tweet 24
Bitmain Invests In Core Scientific With $53.9 Million To Boost Bitcoin Mining

Bitmain Invests In Core Scientific With $53.9 Million To Boost Bitcoin Mining

September 22, 2023
Arbitrum Defies DeFi Turbulence: Whales Make Bold Moves Amidst Market Swings

Arbitrum Defies DeFi Turbulence: Whales Remain Optimistic Amidst Market Swings

September 22, 2023
South Korea's FIU Enhances Crypto Exchange Oversight From October 2024

South Korea’s FIU Enhances Crypto Exchange Oversight From October 2024

September 22, 2023
Coinbase Chief Legal Officer Paul Grewal Confirms Layer 2 Base Will Not Launch Tokens

Coinbase Chief Legal Officer Paul Grewal Confirms Layer 2 Base Will Not Launch Tokens

September 22, 2023
Hong Kong's JPEX Sees Significant Increase In Victims In HK$1.37 Billion Fraud

Hong Kong’s JPEX Sees Significant Increase In Victims In HK$1.37 Billion Fraud

September 22, 2023
Sui Foundation Awards $300,000 In Grants to Shape Web3 Education

Sui Foundation Awards $300,000 In Grants to Shape Web3 Education

September 22, 2023
Binance's Trading Volume Faces Challenge Due To Zero-Fee Promotion Halt

Binance’s Trading Volume Faces Challenge Due To Zero-Fee Promotion Halt

September 22, 2023
Justin Sun's Huobi Bold Transformation: HTX Emerges As A Game-Changer In Crypto

Justin Sun’s Huobi Bold Transformation: HTX Emerges As A Game-Changer In Crypto

September 22, 2023
Bankman-Fried's Release Was Denied: Legal Showdown Looms In High-Profile Trial

Bankman-Fried’s Release Was Denied: Legal Showdown Looms In High-Profile Trial

September 22, 2023
Binance And CEO Changpeng Zhao Officially File To Dismiss SEC Lawsuit

Binance And CEO Changpeng Zhao Officially File To Dismiss SEC Lawsuit

September 22, 2023
  • Live Prices
  • Binance
  • NFT
  • Solana
  • Metaverse
  • Polygon
  • Coinbase
  • Trending

© 2021 COINCU Financial Group Inc. Address: Road Town, Tortola, British Virgin Islands. Email us: [email protected].

No Result
View All Result
  • Coincu
  • News
    • Bitcoin
    • Altcoins
    • Blockchain
    • Metaverse News
    • NFTs News
  • Market
    • Analysis
  • Knowledge
    • Crypto 101
    • DeFi
  • Reviews
    • Exchange Reviews
    • DeFi Reviews
    • GameFi Reviews
    • Casino Reviews
    • Others Reviews
  • Recommended
    • Best Presale Cryptocurrencies
    • Best Bitcoin Casinos
    • Best Bitcoin Gambling Sites
    • Best Web3 Cryptocurrencies
  • PR
    • Press Releases
    • Sponsored Articles
    • Advertise
  • Video

© 2021 COINCU Financial Group Inc. Address: Road Town, Tortola, British Virgin Islands. Email us: [email protected].

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In